A protester walks past Michigan State Police at the State Capitol in Lansing on Dec. 11, 2012. The crowd was protesting right-to-work legislation.AP Photo/Paul Sancya

LANSING, MI -- Wayne State University and the University of Michigan stand to lose millions of dollars in state funding under a proposed budget bill that would penalize them for lengthy contracts extended before implementation of the state's new right-to-work law.

A House appropriations subcommittee today approved a proposed higher education budget linking 15 percent of all university funding to the "fiduciary responsibility" of employee contracts, fanning the flames of a right-to-work debate that remains red hot more than three months after legislative approval.

Critics say that Republican lawmakers are attempting to enforce a law that does not actually take effect until the end of the month by scaring other universities from negotiating similar deals. Those same lawmakers, meanwhile, contend they are protecting taxpayers and standing up to unions seeking to guarantee dues collection beyond implementation of the new law, which will prevent such agreements moving forward.

House Bill 4221, which now heads to the full appropriations for continued consideration, would penalize unions that entered into a new contract between December 10 and March 28 that does not achieve at least 10 percent savings or adds only a "union security" clause requiring employees to continue paying dues or fees.

Wayne State, whose Board of Governors is poised to consider final approval of an eight-year contract, could lose up to $27.5 million of a possible $184 million in state funding next year. U-M, which has reached a tentative agreement on a five-year deal with its lecturer's union, stands to lose up to $41.1 million of the $278.8 million it could receive.

How will Gov. Rick Snyder's administration respond to the proposal?

Snyder spokeswoman Sara Wurfel said in an email "it's just one part of the legislative process and we'll watch closely as
the issue and appropriations process progresses."

Wurfel said that Snyder has indicated that
"if there was significant economic benefit or savings in long-term contracts" that were negotiated, they could be of value and "make sense." But if those contract changes offer "very
little substance, then it's fair (to) bring up questions and concerns."

Several lawmakers and groups have weighed in on the higher education budget proposal, and you'll find a round-up of their reactions below.

Republican State Rep. Al Pscholka: "I think we've sent a pretty serious message here," the chairman of the House appropriations subcommittee said after today's vote. "And hopefully it's received. The message is: Protect taxpayers. If you're going to do contracts, make sure that you come up with real taxpayer savings. We haven't seen any yet."

Wayne State University: "This legislation is punishment in reaction to an eight-year contract that was concluded as part of the normal negotiations process, and well within the legal requirements of Right to Work," spokesman Matt Lockwood said in a released statement. "We are stunned and saddened that the Legislature would take such measures in reaction to a contract that is both good for the University and perfectly legal. This is a case of legislators questioning the judgment of people who understand and are responsible for the best interests of the University. While some legislators may feel satisfied, a cut of this magnitude will harm not only the University, but the people and community it serves, and most importantly, our students. There is no magic to university budgeting; when appropriations decrease this severely, a university cannot cut its way to a balanced budget. We will have no choice but to raise tuition."

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Republican Senate Majority Leader Randy Richardville: "What I favor is reasonable representation to the people that were appointed to these boards," Richardville said today on the Senate floor. "If it's a quote-unquote money grab to increase contracts in a way that isn't normal because a law was passed, then I think that the people that either attend or help pay for that -- the taxpayers in general -- should have some serious questions about the way they're spending that money … I wouldn't see the fact that we are not going to throw more money into people's hands that aren't responsibly looking at it as necessarily a punishment. I think it's being responsible with taxpayer dollars, and they need to make sure that they are responsible."

Democratic Senate Minority Leader Gretchen Whitmer: "It is absolutely disgraceful that the House Republicans would attempt to slash tens of millions of dollars more from our universities that have been hurt so much already by their budgets over the past 2 years," Whitmer wrote on Facebook. "Republicans like to talk about creating jobs, but when it comes to properly funding these institutions that create jobs and educate our kids, they choose to play politics instead. I'm stunned at how out of touch they continue to be."

Greg McNeily, president of the Michigan Freedom Fund: "House members did the right thing today by standing against the special interests and standing up for the civil rights of hard working teachers and university staff," said McNeily, a longtime associate of former gubernatorial candidate Dick DeVos, in a release. "Professors at Wayne State and the University of Michigan as well as teachers in districts across Michigan deserve much better than to have their civil rights trampled by union officials and school administrators conspiring to establish secret backroom deals that cut teachers' salary while forcing them to join a union whether they want to or not. Lawmakers who sided with the big-money special interests and refused to defend working families today should be ashamed of themselves."

David Hecker, president of the American Association of Teachers-Michigan: Our universities are the gateway to good jobs and a stronger economy," Hecker said in a statement. "Since Michigan is not currently a Right to Work state, it's wrong for Lansing Republicans to bully university boards and employees who negotiated collective bargaining agreements legally and in good faith. By punishing Wayne State and the University of Michigan for making decisions that are completely legal, Lansing Republicans are jeopardizing the futures of Michigan students. Republican leaders should stop these unfounded attacks so our universities can get back to what they do best - providing our students with a world-class education."

Scott Hagerstrom, President of American's For Prosperity-Michigan: "State lawmakers are demanding fiscal prudence from any school district trying to make an end-run around Michigan's new right-to-work law," Hagerstrom said in a release. "For that, we owe them a great big thank you. Negotiating a new collective bargaining agreement is a serious decision that includes a strong fiscal component. It is irresponsible for school officials to make such an important decision on the basis of politics instead of good policy. Our state lawmakers are well within their right to ask any district that has put politics before sound decision-making to demonstrate their commitment to fiscal responsibility before they can be eligible for state funds."

University of Michigan lecturer's union: "As far as I can see it's bullying from the legislature," President Bonnie Halloran told annarbor.com. "Nothing illegal is being done."

What do you think about the proposed penalties for university contracts? Weigh in via the poll above or the comments section below.

Jonathan Oosting is a Capitol reporter for MLive Media Group. Email him, find him on Google+ or follow him on Twitter.